On more Amazon news, it has been reported that NIKE will begin selling its product directly on Amazon via a brand-registry program designed to facilitate more direct online sales and to reduce counterfeit NIKE being sold from third parties on Amazon’s marketplace.
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Amazon has been making a concerted effort lately to reduce counterfeit products after many brands made complaints about the amount of counterfeit goods on Amazon’s marketplace. Longer term, it aims to use artificial intelligence and machine learning tools to identify and block counterfeit postings before they are even posted.
NIKE would follow in the footsteps of 2,000 other brands including Under Armour (UAA US), which has its own customised page on Amazon and the partnership would also be an extension of NIKE’s brand on Zappos.com (an Amazon subsidiary specialising in shoes). NIKE will continue to focus on the direct-to-consumer channel, which grew at 18% last quarter dwarfing growth in its wholesale channels to the likes of retailers such as Foot Locker (FL US), Finish Line (FINL US) and Dick’s Sporting Goods (DKS US) which all fell 4% to 5% on news of this proposed partnership.
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